New vehicle sales have kept their brisk pace last month in the US, the second largest auto market in the world, with automakers posting robust year-over-year increases as the seasonally adjusted annual rate of sales, or SAAR, approached the 18 million units threshold.
General Motors, Chrysler, Ford, Nissan, Lexus, Audi, Subaru and Volkswagen were among the key makes that delivered positive results as the industry sales were in July again on pace to secure the best level in at least a decade. Consumers showed interest in renewed spending with the surprising increases from all three Detroit carmakers and their usual Japanese rivals. The sixth best sellers of automobiles in the US increased their volumes past analyst expectations – as gasoline and financing have both remained relatively affordable. “A lot of people are buying because they have confidence in the economy and need to replace their cars,” comments Larry Dominique, executive vice president for car-pricing website TrueCar Inc. “Millennials are coming to market pretty fervently.” Consumer confidence slid slightly last month but the past eight months its average has been the best since 2004, according to University of Michigan Surveys of Consumers.
And the auto sales SAAR has hovered around the 17 million or more mark during four of the past five months, said Autodata Corp. Mark Wakefield, a Southfield, Michigan-based consultant with AlixPartners predicts the momentum is likely to carry on for the following year and a half, with automakers forecasted to reach 17.1 million cars and light trucks in 2015 and then surge to 17.4 million vehicles next year.